We expect further upside for P.I.E. Industrial after it recouped the previous session’s losses and closed above the RM6.10 resistance yesterday. Given that the stock has broken out from a 5-week bullish rectangle pattern, the resumption of its previous uptrend may be taking place now. A bullish bias may emerge above the RM6.10 level with stop-loss set at RM5.58, below the 20-day EMA. Towards the upside, near-term resistance level is seen at RM7.00, followed by RM7.50.

Entry : RM6.10–6.25

Target : RM7.00, RM7.50

Exit : RM5.58

Source: AmInvest Research - 29 May 2024